FRAUD – UNITED STATES

Rio Tinto wants US fraud charges dropped

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Original article by Peter Ker
The Australian Financial Review – Page: 13 & 23 : 18-Jan-18

Lawyers representing former Rio Tinto CEO Tom Albanese have rejected allegations that he concealed the true value of a Mozambique coal project, arguing that other officers and employees of the resources group were responsible for asset valuations and impairment charges. Albanese’s lawyers, as well as those representing former CFO Guy Elliot and Rio Tinto, will ask a US court to dismiss the Securities & Exchange Commission’s fraud charges.

CORPORATES
RIO TINTO LIMITED – ASX RIO, UNITED STATES. SECURITIES AND EXCHANGE COMMISSION, JONES DAY

ASIC defends silence as US class-action lawyers circle Rio

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Original article by Peter Ker, Jonathan Shapiro
The Australian Financial Review – Page: 15 : 20-Oct-17

Greens senator Peter Whish-Wilson has criticised the Australian Securities & Investments Commission over its tardiness in responding to allegations against Rio Tinto and its former executives. This follows a move by the US Securities & Investments Commission to file fraud charges over the valuation of Rio Tinto’s former coal assets in Mozambique. US lawyers are preparing a class action against Rio Tinto, although they say disgruntled investors should be mindful of the statute of limitations and act quickly. Some Australian law firms are also considering a class action.

CORPORATES
RIO TINTO LIMITED – ASX RIO, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION, AUSTRALIAN GREENS, UNITED STATES. SECURITIES AND EXCHANGE COMMISSION, HAGENS BERMAN SOBOL SHAPIRO LLP, BANNISTER LAW, MAURICE BLACKBURN PTY LTD, UBS HOLDINGS PTY LTD, BHP BILLITON LIMITED – ASX BHP

Rio Tinto and former bosses charged with fraud by US regulator over Mozambique coal

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Original article by Michael Janda
abc.net au – Page: Online : 19-Oct-17

Rio Tinto and former CEO Tom Albanese will contest the fraud charges that have been filed against them in the US. The Securities & Exchange Commission will contend that Albanese and ex-CFO Guy Elliott deliberately concealed the true value of a Mozambique coal project for which Rio Tinto had paid $US3.7bn in 2011. The SEC will allege that Rio only disclosed the real value of the coal assets after an executive informed chairman Jan du Plessis of the valuation discrepancy in early 2013. Rio Tinto subsequently wrote down the value of the assets by $US3bn and sold the project for just $US50m in 2014.

CORPORATES
RIO TINTO LIMITED – ASX RIO, UNITED STATES. SECURITIES AND EXCHANGE COMMISSION, RIVERSDALE MINING LIMITED, RIO TINTO COAL MOZAMBIQUE, VEDANTA RESOURCES PLC, GREAT BRITAIN. FINANCIAL CONDUCT AUTHORITY, AUSTRALIAN SECURITIES AND INVESTMENTS COMMISSION

Former QBE executive faces fraud charges

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Original article by Ruth Liew
The Australian Financial Review – Page: 15 & 21 : 19-Jun-15

US prosecutors will allege that James Shea and Eugene Fallon embezzled Australian-listed QBE Insurance Group of some $US2.6m ($A3.37m). Shea was a vice-president of QBE at the time of the alleged fraud, while Fallon was an external consultant. Shea has been accused of falsifying invoices and forging the signature of the insurer’s CFO. The Commonwealth Bank has also been embroiled in a fraud case.

CORPORATES
QBE INSURANCE GROUP LIMITED – ASX QBE, COMMONWEALTH BANK OF AUSTRALIA – ASX CBA, DISTRICT COURT OF NEW YORK, COMPUTER SCIENCES CORPORATION, SERVICMESH CSC, ACE FOUNDATION